Michael Finucane (Fine Gael)

I support Senator Ryan's statement on work permits. I welcome the fact that legislation has been announced by the Minister because it is timely to introduce changes in this regard. What has happened in Eyre Square in Galway is regrettable, the impact of which has been felt mainly by 30 Polish workers who were not aware that the project was closing down. What will happen to these workers?

The aspect of overruns has been raised on many occasions in this House. I am concerned about the overrun relating to the main drainage scheme in Limerick city. When it was projected in 2001, it was supposed to cost €127 million, but it will now cost €262 million, which is double the original cost predicted. I put it to the professionals in the Department of the Environment, Heritage and Local Government that the contractor was fired from that project on the basis that it appeared he was too slow in carrying out the work. As a result, this contractor's business has been seriously damaged. He had to sell 50% of his company and could not tender for many projects. The worrying aspect is that an arbitrator has decided that the contractor was wrongfully dismissed from the project. The impact of this could mean a payment of almost €50 million to the contractor, together with an overrun which already exists.

The sum of €50 million would represent approximately 80% of the entire city council's budget. Who will pick up the tab for this? Potentially the Department of the Environment, Heritage and Local Government will have to do so because the city council will not. Before the city council made the decision, what professional advice did it get in regard to the decision, because it now appears that the contractor has been vindicated by the arbitrator's decision? There are many questions to be answered in this regard because this is taxpayers' money which will be spent. It is regrettable that these cost overruns appear to be accepted. Many questions must be asked about this project.